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and it includes the electronic image of a truncated cheque and a cheque in

electronic form”.
6. Debit Note

A debit note is made out evidence that a debit was been made to the account
of the party named in the debit note. It details the reason for the debit. The

effect of a debit note is that the indebtedness to the supplier is reduced or, if
the account is already settled, goods can be purchased further without

payment.

7. Credit Note
A credit note is made out evidencing that credit has been granted to a debtor.

The effect of a credit note is that the amount of the customer’s indebtedness

is reduced or, if it is already settled, to enable the customer to purchase
goods to the value of credit without further payment.

8. Vouchers

It is a document evidencing a business transaction. A voucher detailing the
accounts that are debited and credited is prepared, on the basis of source

documents such as cash memo, invoice or bill, receipt, pay-in-slip, cheque,

debit and credit notes, etc.
9. Types of Vouchers

Basically, vouchers may be classified into two categories as follows:
 Supporting vouchers these are also known as source vouchers or source

documents. These are the documents which come into existence when a

transaction is entered into.
 Accounting vouchers are the secondary vouchers. These vouchers are a

written document prepared on the basis of supporting vouchers for accounting
and recording purposes, prepared by an accountant and countersigned by an

authorized person. These accounting vouchers are prepared for cash as well

as non-cash transactions.
 Accounting vouchers may be classified into two categories a follows:

 Cash Vouchers which are prepared at the time of receipt or payment of cash
are known as cash vouchers. It includes receipt and payment through

cheques.
Cash vouchers further can be of the following two types: